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Market Update

Market Update: April 4, 2018

Ocean, trucking, and air freight rates and trends for the week of April 4, 2018.


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Ocean Freight Market Updates

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April 1 GRI Expected to Hold

Early indications are that the GRI will hold, as rates were low in March. 

TAWB Space Remains Full

Transatlantic Westbound space remains full week over week. Services are generally tight due to a number of weather disruptions and port closures. 

ONE Announces Commencement of Container Shipping

ONE (Ocean Network Express) officially launched on April 1. The new line represents the integration of the three major Japanese carriers: MOL, NYK, and ‘K’ Line, to produce a combined 1,440,000 TEU fleet size. 

With this merger, ONE represents about 16 percent of Far East - US Eastbound trade (if we’re looking at liftings share from May 2017 - January 2018, as reported by the Alphaliner).

Air Freight Market Updates

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Demand Out of Vietnam Increases

Demand is picking up ex-Vietnam, in comparison to the past several weeks. Although no backlogs are foreseen, we recommend booking space as early as possible. 

For shipments with tight deadlines, use express service to guarantee arrival dates. 

**Air France Unions Plan Additional Strikes **

Air France employees are planning on a new round of strikes, scheduled for Saturday, April 7th, Tuesday, April 10th, and Wednesday, April 11th. 

The additional strikes will likely result in delays and some flight cancellations. 

Trucking Market Updates

Trucker Pay is Up as Driver Shortage Continues

As driver shortage concerns become real, trucker pay is on the rise, according to the American Trucking Association’s (ATA) Driver Compensation Study. According to the study results, compensation increases were even more noticeable for private fleet drivers. 

In an attempt to attract new drivers, many carriers are also offering signing bonuses, health insurance, and retirement funds. 

International Roadcheck Planned for June 5-7

The Commercial Vehicle Safety Alliance’s (CVSA) International Roadcheck is planned for June 5-7, 2018. Throughout North America, commercial vehicle inspectors will examine commercial motor vehicles and drivers. 

The stated primary focus of this year’s check is hours-of-service compliance, aligning with the ELD mandate that was implemented in December 2017.

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